Financial plan and supporting documents Milan Goci University

Financial plan and supporting documents Milan Gocić University of Niš First SC meeting/ 08 May 2019 This project has been funded with support from the European Commission. This publication reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein.

Budget info The grant shall be of a maximum of EUR 931, 289. 00 and shall take the form of: Staff costs: 365, 279 EUR Travel costs: 90, 210 EUR Costs of stay 183, 150 EUR Equipment costs: 254, 000 EUR Subcontracting: 38, 650 EUR Total project expenditures: 931, 289 EUR Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Installments from EACEA to the Project coordinator Ø first pre-financing payment of 50% of the maximum amount: upon entry into force of the Grant Agreement (16 November 2018 -> 465, 644. 50 EUR) Ø second pre-financing of 40% of the maximum amount if: – at least 70% of the previous pre-financing installment is spent – the statement of costs incurred and the request for payment is sent to EACEA – the progress report on the implementation of the Action (Intermediate report) is sent to EACEA Ø balance of 10% max upon the approval of the Final Report (EACEA payment or recovery 60 days following the reception of the FR ) Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Institution Money transferred P 2 BOKU 10, 219. 00 P 3 NMBU 10, 943. 75 P 4 AUTh 8, 308. 25 P 5 UACEG 6, 399. 00 P 6 UNIRIFCE 6, 494. 00 P 7 UL 8, 480. 00 P 8 UNS 5, 375. 75 P 9 UNSA 40, 096. 00 P 10 UNMO 38, 763. 75 P 11 UPKM 11, 124. 80 P 12 TCASU 2, 542. 50 P 13 Uo. M 4, 763. 75 P 14 PWMC VV 1, 900. 25 Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders 155, 410. 80 www. swarm. ni. ac. rs

Institution P 1 UNI Money spent 14, 994. 96 P 2 BOKU P 3 NMBU P 4 AUTh P 5 UACEG P 6 UNIRIFCE 2, 095. 00 P 7 UL P 8 UNS 840. 00 P 9 UNSA P 10 UNMO P 11 UPKM P 12 TCASU P 13 Uo. M P 14 PWMC VV Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders 1, 000. 00 1 st prefinancing : 465, 644. 50 Total: 18, 929. 96 % used on 1 st prefinancing: 4. 07 % www. swarm. ni. ac. rs

Monthly Rates valid in 11 -2018 Bulgaria – 1 EUR = 1. 9558 BGN (Bulgarian lev) Croatia – 1 EUR = 7. 4315 HRK (Croatian kuna) Norway – 1 EUR = 9. 5435 NOK Bosnia and Herzegovina – 1 EUR = 1. 95583 BAM (Bosnia and Herzegovina convertible mark) Republic of Serbia – 1 EUR = 118. 52 RSD (Serbian Dinar) The rates indicated are the market rates for the penultimate day of the previous month quoted by the European Central Bank or, depending on availability, provided by the delegations or other appropriate sources close to that date. Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Financing approach Ø Actual costs: budget headings Equipment and Subcontracting ØUnit Costs: budget headings Staff costs, Travel costs and Costs of stay Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Actual costs Ø Expenses actually incurred Ø Need to be duly documented and justified with the corresponding level of cost incurred Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Eligible costs (Art. II. 19) Ø Incurred during the eligibility period Ø Foreseen in the application/budget Ø In connection with the action and necessary for project implementation Ø Identifiable, verifiable, recorded in accounting records of the beneficiary Ø Comply with requirements of applicable tax and national legislation Ø Reasonable, justified, complying with principle of sound financial management, in particular regarding economy and efficiency Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Ineligible costs (Art. I. 10. 4/II. 19. 4) Ø equipment such as: furniture, motor vehicles of any kind, equipment for research and development purposes, telephones, mobile phones, alarm systems and anti-theft systems; Ø costs of premises (purchase, rent, heating, maintenance, repairs etc. ); please note that the rent of premises for short events is not concerned; Ø costs linked to the purchase of real estate; Ø expenses for activities that are not carried out in the project beneficiaries' country (see Annex IV of the Agreement), unless an explicit prior written authorisation has been granted by the Agency; Ø depreciation costs; Ø return on capital; Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Ineligible costs (Art. I. 10. 4/II. 19. 4) Ø debt and debt service charges; Ø provisions for losses or debts; Ø interest owed; Ø doubtful debts; Ø exchange losses; Ø costs of transfers from the Agency charged by the bank of a beneficiary; Ø costs declared by a beneficiary in the framework of another action receiving a grant financed from the Union budget; Ø contributions in kind from third parties; Ø excessive or reckless expenditure; Ø taxes (VAT, duties and charges) Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Tendering procedure Ø The beneficiary shall apply the tendering procedure for the purchase of any kind of goods or services whenever the amount of the purchase/sub-contract is between EUR 25. 000 and 134. 000 Ø Principles of transparency, equal treatment of potential contractors, avoiding conflicts of interests Ø Criterion for selection of offer: best value for money Ø If value of purchase/sub-contract > EUR 134. 000: national legislation applicable Split purchase/sub-contract into smaller contracts below the threshold to avoid a tendering procedure -> NO Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Equipment Ø Relevant to the objectives of the project foreseen in the application Examples: (e-)books and periodicals, fax machines, photocopying machines, computers, software, machines and equipment for teaching purposes etc Ø Total purchase cost (not depreciation) Ø Exclusively for Partner Country HEIs Ø Purchased and installed at the beginning of the project Ø Recorded in inventory of institution where it is installed Ø Labelled with E+ stickers Not foreseen in the application/budget? -> Prior written authorisation from Agency Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Equipment – Supporting documents Ø Invoice(s) for all purchased equipment (please note that order forms, pro-forma invoices, quotations or estimates are not considered as proof of expenditure). Certified copy Ø VAT exemption statement Certified copy Ø Documentation on the tendering procedure and three quotations (for more than 25000 Euros) Certified copy Ø Proof of payment (bank statement) Certified copy Ø Proof that equipment is recorded in inventory of the institution + analytical cards Certified copy Ø Contract with chosen supplier Certified copy Ø Photos Ø Any prior authorisation from the Agency Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Subcontracting Ø Implementation of specific tasks, by third party, to which a contract is awarded by one/several beneficiaries Ø Examples (provided that it cannot be carried out by beneficiaries' staff): § Evaluation activities/auditing (Audit Certificate on Financial Statement) § IT courses, Language courses § Printing, publishing and dissemination activities § Translation services § Web design and maintenance § Logistic support for the organisation of events Ø Not foreseen in the application/budget? -> Prior written authorisation from Agency Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Subcontracting – Supporting documents Ø Invoices, subcontracts and proof of payment (bank statement) Certified copy Ø> EUR 25. 000 < EUR 134. 000: tendering procedure and three quotations from different suppliers Ø Tangible outputs/products (2 pieces) Ø Any prior authorisation from the Agency Ø Photos Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Actual costs Ø Fixed contribution (not fractioned) multiplied by number of units Ø"Triggering event" -> activities implemented/outputs produced during the eligibility period (tangible outputs) Ø No need to justify level/amount of costs incurred Ø In case of financial control/audit declared unit costs supported with proof demonstrating that activities implemented Ø If activity/output not accepted (e. g. not supported by concrete evidences) -> no corresponding unit costs is granted Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Staff Costs (max. 40% of total budget) Ø Performing tasks necessary to achievement of the project Ø Formal contractual relationship Ø Calculation of the grant: staff category, country in which staff member is employed, number of days worked Ø Each unit cost corresponds to an amount in Euro per working day per staff Ø Categories: Managers/Researchers, Teachers and trainers/Technical staff /Administrative staff Ø Staff category: nature of work performed, not status of individual Ø Unit cost: country in which staff is employed, independently of where tasks are executed Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Staff categories Ø Manager (legislators, senior officials and managers) ØTeacher/Trainer, Researcher (typically carry out academic activities related to curriculum/training programme development, development and adaptation of teaching/training materials, preparation and teaching of courses or trainings) Ø Techican (technicians and associate professionals) Ø Adminastrative (office and customer service clerks) Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Staff costs calculation Example: a staff employed in WB country performing teaching activity for 3 days -> 240 Euro (3 unit costs of 80 Euro each) Calculation of the grant: Ø based on application of unit costs and independent from actual remuneration (defined in the Partnership Agreement) Ø obtained by multiplying unit cost (corresponding to category of country and staff) by number of working days spent on the project per staff member Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Staff costs calculation One working day defined according to applicable national legislation Declared working days per individual should not exceed 20 days per month or 240 days per year Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Staff costs – Supporting documents Ø JOINT DECLARATION (Annex II) for each person employed ORIGINAL Ø TIME-SHEETS (attached to each staff convention), indicating number of days worked for corresponding month/year, description of tasks , outputs produced and related work package ORIGINAL Ø FORMAL CONTRACTUAL RELATIONSHIP (EMPLOYMENT CONTRACT) Certified copy Ø ANY EVIDENCE allowing to verify that declared workloads correspond to actual activities/outputs (e. g. attendance lists for lectures given, tangible outputs / products, salary slips, etc. ) Certified copy Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Staff costs – Supporting documents Ø PROOF OF PAYMENT (net + taxes) Certified copy Ø Calculation of gross, net and tax amount (especially important when for paying is used other currency than euro) Certified copy Ø Contract for working on SWARM project Certified copy Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Rules for designation of Joint declaration EXAMPLE 1: If there are documents regarding to Staff Costs, we use next approach for coding Joint Declaration document (Annex II). P 1 is the first partner institution. In our case, the University of Nis. P 1 – JD – 001 P 1 – partner number JD – Joint Declaration (Staff Costs -Budget Headings) 001÷ 100 Three digits should be used Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Rules for designation of Joint declaration P 1 – JD – 001 597888 -EPP-1 -2018 -1 -RS-EPPKA 2 -CBHE-JP All documents to be delivered in hard copies All these documents which regarding the Staff costs, Travel costs etc, should be scanned and posted on the project platform in the area that provided for this purpose. http: //mngt. swarm. ni. ac. rs/ Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Joint declaration Ø Joint declaration must be in line with time-sheet (number of days and description of tasks performed and outputs produced) Ø Staff costs filled in Financial report must be in line with both joint declaration and time-sheet Ø One person can be engaged regarding different staff categories (for example, manager and researcher/teacher/trainer) Ø Joint declaration and time-sheet must be signed by legal representative Ø Time-sheet should be attached to each joint declaration Ø Declared working days should not exceed 20 days per month or 240 days per year Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Joint declaration Ø be careful about the reference number Ø insert YES/NO fields regarding employment contract Ø provide documents for the financial transaction Ø project’s eligibility period should be in line with the financial plan and work plan Ø insert the staff category in line with the time-sheet Ø the staff category to be applied does not depend on the status or title of the individual Ø for staff performing different categories of tasks a separate convention must be signed for each type of activity Ø the person performing the activity and legal representative must sign joint declaration and stamped Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Time-sheet Ø the staff category should be in line with the joint declaration Ø describe the tasks performed Ø describe the output produced (obligatory) Ø the related work package and the described task must be in line with the work plan (WP 1– Preparation, WP 2, WP 3, WP 4 – Development, WP 5 – Quality, WP 6 – Dissemination/Exploitation, WP 7 – Management) Ø the number of days must be in line with the defined HEI financial plan Ø be careful about year and month Ø the person concerned and legal representative must sign time-sheet Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Joint declaration and Time-sheet Work Package + Activity + Description of tasks performed + Tangible outputs produced (report, event organization, plan, guideline, leaflet, book material, training material, etc. ) Example: WP 1 Analysis of water resources management in the Western Balkan region: A 1. 2 Analyse of EU innovations in water policy and EU recommendations and legislation in water sector - Writing the UNIRIFCE part of the report - Report created Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Travel costs and Costs of stay Ø Staff/students participating in activities related to the achievement of the project ØUnit costs to apply: travel distance (for travel costs), duration for costs of stay and type of participant ØPrior authorisation for activities not taking place in countries represented in the partnership ØPrior authorisation for activities not described in the Guidelines (section 3. 3. 1. 2) Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Travel costs and Costs of stay Ø Staff § Under contract with beneficiary institutions and involved in the project § Travels intended for the activities listed in the Guidelines § Duration: Max. 3 months Ø Students § Registered in one of the beneficiary institutions § Targeted mainly at Partner Country students and intended for activities listed in the Guidelines (overview table) § Duration: Min. 2 weeks – Max. 3 months (Max. 1 week for short term activities linked to the management of the project) Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Travel costs and Costs of stay – Supporting documents Ø Justification for the following elements: § Journeys actually took place § Journeys connected to specific and identifiable projectrelated activities To be retained with project accounts: Ø INDIVIDUAL TRAVEL REPORT (ITR) Original Ø Supporting documents (e. g. travel tickets, boarding passes, invoices, receipts, proof of attendance in meetings and/or events, agendas, tangible outputs/products, minutes of meetings) Certified copy Ø Proof of payment for travel costs and costs of stay (bank statement) Certified copy Ø Proof of payment for taxes (if any) Certified copy Any prior authorisation from the Agency Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Travel costs and Costs of stay – Supporting documents Ø Invoices for accommodation Certified copy Ø Calculation of gross, net and tax amount (especially important when for paying is used other currency than euro) Certified copy Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Rules for designation of ITR EXAMPLE 1: We use next approach for coding Individual Travel Report document (Annex III). P 1 is the first partner institution. In our case, the University of Nis. P 1 – ITR – 001 P 1 – partner number ITR – Individual Travel Report (Travel Costs and Costs of Stay -Budget Headings) 001÷ 100 Three digits should be used Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Rules for designation of ITR P 1 – JITR– 001 597888 -EPP-1 -2018 -1 -RS-EPPKA 2 -CBHE-JP All documents to be delivered in hard copies Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Travel costs and Costs of stay – Example Ø Travel: Nis (RS) – Vienna (AT), 4 days Ø Distance: 691. 59 km => 275 Eur Ø Distance calculator http: //ec. europa. eu/programmes/erasmusplus/tools/distance_en. htm Ø Stay costs: 4 days => 480 Eur Ø TOTAL: 275 + 480 = 755 EUR Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Travel costs and Costs of stay Travel costs Costs of stay (120 EUR per day) Distance Eligible cost No. of days Eligible cost 10 – 99 km 20 Eur 1 120 100 – 499 km 180 Eur 2 240 500 – 1999 km 275 Eur 3 360 2000 – 2999 km 360 Eur 4 480 3000 – 3999 km 530 Eur 5 600 4000 – 7999 km 820 Eur 6 720 8000 km and more 1100 Eur Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Individual Travel Report (ITR) Ø purpose: for specification of travel costs and costs of stay Ø to be filled in by each participant Ø in case of multiple travels, fill in separate ITR Ø type of activity should be in line with the work plan Ø details of the travel: §indicate period of travel from departure to return to place of origin §place of departure: If different from Home institution please enclose authorisation from the Agency § travel distance in km – one way travel (distance calculator: http: //ec. europa. eu/programmes/erasmusplus/tools/distance_en. htm) Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Individual Travel Report (ITR) Ø details of activity: § dates excluding travel § brief description of the activity performed should be inserted Ø provide documents regarding financial transactions Ø invoces, receipts, boarding passes Ø add agenda and participation list for all days Ø only participant should sign ITR Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Checks and Audits (Art. II. 27) Ø The EACEA and/or the Commission may carry out technical and financial checks and audits in relation to the use of the grant Ø Carried out either directly by EACEA / Commission or by an outside body authorised to do so on its behalf ØDuring the implementation of the Agreement and for a period of five years starting from the date of payment of the balance Ø Contractual obligation of the project to carry out a financial audit at final report stage Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Documentation All financial documentation should be prepared in two hard copies for UNI + one or more copies for your HEI and sent by post at For SWARM Milan Gocic University of Nis Univerzitetski trg 2 18000 Nis SERBIA Financial documentation (staff costs, travel costs, equipment and subcontracting costs) should be scanned as pdf and uploaded on SWARM platform under your HEI acronym or sent at swarmuni@gmail. com. Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Penalties Grant Agreement defining the penalties for poor, partial or late implementation of project activities (Article I. 10. 6, II. 17) and visibility obligations (Articles I. 10. 9 and I. 10) with the purpose of sound financial management and to avoid any possible risks. Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Penalties for weak implementation Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Article I. 10 Penalties in the case of noncompliance with publicity obligations The obligation to comply with the publicity provisions set out in Article II. 7 of the General Conditions constitutes a substantial obligation. Without prejudice to the right to terminate the grant, in case of failure to fulfil this obligation, the Agency may apply a 20% reduction of the grant initially provided for. Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Article I. 10 Administrative and financial penalties Beneficiary which has committed substantial errors, irregularities or fraud, has made false declarations in supplying required information or has failed to supply such information at the moment of the submission of the application or during the implementation of the grant, or has been found in serious breach of its obligations under the Agreement shall be liable to: a) administrative penalties consisting of exclusion from all contracts and grants financed by Union budget for a maximum of five years from the date on which the infringement is established and confirmed following a contradictory procedure with the beneficiary Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Article I. 10 Administrative and financial penalties b) financial penalties of 2% to 10% of the value of the contribution the beneficiary concerned is entitled to in accordance with the estimated budget set out in Annex III. In the event of another infringement within five years following the establishment of the first infringement, the period of exclusion under point a) may be extended to 10 years and the range of the rate reffered to in point b) may be increased to 4% to 20%. Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs

Be careful Check twice before signing Strengthening of master curricula in water resources management for the Western Balkans HEIs and stakeholders www. swarm. ni. ac. rs